Case Note & Summary
The appellant, Patel Sanjaybhai Chaganbhai, filed first appeals under Section 96 of the Code of Civil Procedure, 1908, challenging the compensation awarded by the Reference Court in LAR Case Nos. 798/2010, 796/2010, 779/2010, and 797/2010. The lands were acquired by the State of Gujarat for the Sujlam Suflam Spreading Canal in Village Alva, Taluka Bayad, District Arvalli-Modasa. A Section 4 notification was published on 05.11.2004. The Acquisition Officer passed an award under Section 11 of the Land Acquisition Act, 1894 on 30.04.2005, fixing market value at Rs.7.5 per sq. mtr. Dissatisfied, the appellant filed references under Section 18 claiming Rs.250 per sq. mtr. The Reference Court, by judgment dated 29.09.2016, granted lump sum compensation at Rs.80 per sq. mtr. The appellant sought enhancement in the High Court. The appellant's counsel argued that for the adjacent village Aakodiya, the High Court in First Appeal No.3879/2021 (order dated 27.01.2026) had fixed market value at Rs.308.25 per sq. mtr. and awarded additional compensation of Rs.228.25 per sq. mtr. after deducting the amounts already awarded. Since the notification date was the same and the villages are adjacent, the same rate should apply. The State's counsel could not dispute this. The High Court, considering the submissions and the precedent, allowed the appeals, set aside the Reference Court's award, and directed that the appellant be entitled to additional compensation at Rs.228.25 per sq. mtr. over and above what was already awarded by the Acquisition Officer and Reference Court. The Court also directed that the additional amount be paid within eight weeks, failing which interest under Section 28 of the Act would apply.
Headnote
A) Land Acquisition - Compensation Enhancement - Adjacent Village Precedent - Land Acquisition Act, 1894, Sections 4, 11, 18 - The appellant sought enhancement of compensation for land acquired for Sujlam Suflam Canal, claiming parity with adjacent village Aakodiya where the High Court had fixed market value at Rs.308.25 per sq. mtr. and additional compensation at Rs.228.25 per sq. mtr. - The Court held that since the notification under Section 4 was the same date and the villages are adjacent, the same rate should apply to ensure just and reasonable compensation (Paras 4-6).
Issue of Consideration
Whether the appellant-claimant is entitled to enhanced compensation for acquired land at the same rate as awarded for adjacent village land acquired under the same notification.
Final Decision
Appeals allowed. The judgment and award dated 29.09.2016 passed by the learned Reference Court in LAR Case Nos. 798/2010, 796/2010, 779/2010, and 797/2010 are set aside. The appellant is entitled to additional compensation at the rate of Rs.228.25 per sq. mtr. over and above the amount already awarded by the Acquisition Officer and the Reference Court. The respondent State is directed to pay the additional amount within eight weeks from the date of the judgment, failing which interest under Section 28 of the Land Acquisition Act, 1894 shall apply.
Law Points
- Land Acquisition Act
- 1894
- Section 4
- Section 11
- Section 18
- Market Value Determination
- Adjacent Village Precedent
- Just and Reasonable Compensation




